GlobalFoundries Revenue Dips 9% to $7.4 bn

GlobalFoundries, a leading semiconductor manufacturer, has projected first-quarter revenue in the range of $1.50 billion to $1.54 billion.
GlobalFoundries revenue based on end markets in 2023The chipset maker’s outlook is fueled by expectations of growth in automotive revenue throughout 2024, attributed to the increased semiconductor content integrated across vehicle architecture.

GlobalFoundries reported figures for the fiscal year 2023, including revenue totaling $7.4 billion (down 9 percent), a gross margin of 28.4 percent, and a net income of $1.0 billion.

The breakdown of revenue streams reveals significant contributions from various sectors, with sales amounting to $3,023 million from Smart Mobile Devices, $863 million from Communications Infrastructure & Datacenter, $1,395 million from Home and Industrial IoT, $1,046 million from Automotive, $209 million from Personal Computing, and $856 million from Non-Wafer and Corporate Other Revenue, GlobalFoundries said.

For the fourth quarter of 2023, GlobalFoundries posted revenue of $1.854 billion (down 12 percent), maintaining a gross margin of 28.3 percent, operating margin of 16.3 percent, and net income of $278 million.

Thomas Caulfield, President and CEO of GlobalFoundries, has expressed pride in the company’s achievements, particularly highlighting the substantial growth in automotive revenue, surpassing $1 billion in 2023.

In recent business developments, GlobalFoundries announced a strategic multi-year agreement with Infineon for the supply of Infineon’s leading 40nm automotive safety controller, along with power management and connectivity solutions, extending through 2030.

Additionally, the company secured $35 million in federal funding to expedite the manufacturing of its differentiated gallium nitride (GaN) on silicon semiconductors at its facility in Essex Junction, Vermont. This funding is expected to accelerate the production of GaN chips, renowned for their capability to handle high voltages and temperatures.